Image source: Pixabay
 

LULU Elliott Wave Analysis - Trading Lounge Daily Chart

Lululemon Athletica Inc. (LULU) – Daily Chart

• Function: Counter Trend
• Mode: Corrective
• Structure: Zigzag
• Position: Wave 3 of (C)
• Direction: Downside in Wave 3
• Details:
  • Further downside into Wave 3 is likely as Wave 1 appears to be in place.
  • The next major support level could be TradingLevel3 at $300, where a potential bounce in Wave {ii} of 3 may occur.

LULU Elliott Wave Analysis - Trading Lounge 1H Chart

Lululemon Athletica Inc. (LULU) – 1H Chart

• Function: Counter Trend
• Mode: Corrective
• Structure: Zigzag
• Position: Wave {a} of 2
• Direction: Upside in Wave 2
• Details:
  • An alternative count suggests the entire move down from the top in Wave (B) has just completed.
  • We may now be entering a pullback within Wave 2, which could provide a temporary relief rally before the larger downtrend resumes.
  • This short-term bounce in Wave 2 could present trading opportunities before the broader decline continues.

This analysis provides insights into multiple equities, highlighting potential trends, corrective waves, and key price movements based on Elliott Wave Theory. Traders should remain aware of key support and resistance levels while observing the wave structures for confirmation of market direction.

Technical Analyst: Alessio Barretta

More By This Author:

Unlocking ASX Trading Success: Newmont Corporation - Thursday, March 6
Elliott Wave Technical Analysis: Australian Dollar/U.S. Dollar - Thursday, March 6
Elliott Wave Technical Analysis Dogecoin Crypto Price News Today